Global markets faced headwinds as US-Iran hostilities intensified, pushing oil prices higher and impacting investor sentiment. Rising bond yields continued to attract some inflows despite fears of broader economic impact.
Oil prices, particularly US diesel, approached April war highs amid ongoing conflict in the Middle East and a deepening global refining crisis. Chevron also committed $7 billion to Venezuela oil expansion, while OPEC+ held output steady.
European shares declined, dragged by escalating US-Iran conflict and energy-driven inflation concerns. The Fed's latest survey indicated economic activity edged up with moderate price increases, while NY Fed's Williams cited a strong economy for driving higher bond yields.
Corporate news saw Southwest Airlines rally on plans for premium airport lounges and Harmony Biosciences hit a 52-week high. Conversely, Uber announced over 3,000 job cuts in a major global restructuring.
Watch for ISM services PMI and jobless claims data due tomorrow.